The Federal Reserve Board has disclosed the findings of a recent survey involving senior financial officers at banks. The focus of the survey was on strategies and practices employed by these banks in managing reserve balances. This initiative, known as the Senior Financial Officer Survey, serves as a tool for the Board to gather insights into how banks handle reserve balance management.
According to the Federal Reserve Board, “The Senior Financial Officer Survey is used by the Board to obtain information about banks’ reserve balance management strategies and practices, their expectations for potential changes in both the size and composition of their balance sheets, their deposit pricing strategies, and their views regarding Federal Reserve facilities.”
The latest iteration of this survey was conducted jointly with the Federal Reserve Bank of New York from March 21 to March 31, 2025. It captured responses from banks that collectively held approximately three-fourths of total banking system reserve balances during that period.
